The United
States will run out of hog-slaughter capacity by the end of the year and become
a big issue next year, according to Steve Meyer of Paragon Economics.
He said
Porcine Epidemic Diarrhea virus has not claimed as many piglets as a year ago,
so the number of market hogs will be higher than he forecast earlier during the final three months of
this year.
The
hog-packing industry is working about five and a half days a week and can
handle up to 2,438,000 hogs.
But if PED
virus death rates remain low, there will be more than that many hogs coming to
market after October.
The
situation will be worse next year and even adding another Saturday shift may
not be enough.
The
Clemens Food Group is planning a 550,000-hogs-per-week plant at Coldwater,
Michigan, but it is not likely to be running until 2017.
If and when that plant comes on stream, it will ensure no
shortage of slaughter capacity for Ontario hogs.
